Tag: console games

Mobile gaming to surpass consoles in revenue next year

Mobile games may be the rulers of the gaming industry in 2015.

According to market research firm, Newzoo, the mobile gaming industry may be exceptionally strong next year, as mobile games are expected to beat console games in revenue, hitting the $30.3 billion mark in 2015, an increase from the anticipated $25 billion in 2014.

There has been strong year-to-date growth in both mature and emerging markets for tablet and smartphone games.

Compared to the predictions of SuperData Research, the Amsterdam-based Newzoo has greater optimism when it comes to mobile games. Newzoo’s rival, SuperDatat Research, expects that mobile games will only reach $21.1 billion by the end of 2014. That being said it is anticipated that by 2017, games for mobile devices will hit $40 billion.

According to the newly revised 2014 Newzoo forecast, Western Europe’s mobile games market revenue is anticipated to grow 47%, while North America’s is anticipated to grow 51%. Of all the markets, Southeast Asia and China are predicted to be the fastest growing and will expand by 86%

Mobile Gaming vs. consolesNewzoo credits the high mobile growth rate to “organic growth” for boosting the market in general and “cannibalistic growth”, which comes at the cost of other segments. Spending for massively multiplayer online games and online PC games is moving toward tablets and smartphones, while social, casual and handheld console gaming have weakened.

Apple mobile gaming is doing better than Nintendo.

It also appears that the game revenues of Apple could actually be two times greater than Nintendo in 2014. The electronics giant is expected to produce $4 billion in revenue from mobile games sold in iTunes. Meanwhile, Google may generate game revenue totaling $3 billion this year. On the flip side of the coin, Nintendo’s revenues were $2.4 billion in 2013 and this number is predicted to drop in 2014.

Newzoo CEO Peter Warman commented that in the mature Western mobile gaming markets, the battle between Android and iOS is shifting its focus to tablets. Although the iPad gives iOS the advantage in general mobile game spending, the Android market is split across diverse devices and operating systems.

Mobile games gain ground with young consumers

Young people play mobile games almost as much as console and PC games

A new report from the NPD Group, a market research firm, shows that those between the ages of 12 and 17 are playing mobile games as much as they are playing console and PC games. Mobile games may be extremely popular among young consumers because of the value they place on mobile technology. For many young adults, smartphones and tablets are more often considered a symbol of social status rather than a tool of convenience. This is why the demand for mobile technology is so high among young adults when compared to that coming from older consumers.

Report shows teens spend an average of 7 hours per week on mobile gaming

The report suggests that teens aged 12-17 will spend an average of seven hours every week playing mobile games. This is an increase from the five hours per week that the NPD Group had estimated in 2011. The report also notes that mobile games are not only popular among teens. Children as young as 8 years-old frequently play mobile games, even when in the classroom. Even young people that do not have their own smartphones or tablets still find ways to play mobile games, borrowing their friends’ devices or those of their parents.

Mobile Games - Young ConsumersMobile games can be played anywhere

Part of the appeal of mobile games is the fact that they can be played anywhere. This is one of the reasons why these games have become popular among adults, especially those that commute to work on a daily basis. Young adults tend to play mobile games at home, but they will also play these games at school. Indeed, this trend is becoming so prominent that many educators are beginning to look for ways to utilize the popularity of mobile games in order to drive academic progress.

Mobile may eventually win out over console and PC

While mobile games may be popular, teens tend to spend more time on console and PC games. Mobile gaming is expected to continue growing in popularity among young consumers, but it is unclear whether mobile games will replace those on consoles or PC in the foreseeable future. Currently, much of the game industry has begun to focus more aggressively on mobile platforms in order to take advantage of the popularity of mobile gaming.